Daily Outlook

Stock futures decline following Thursday’s wild session

Stock futures fell in early Friday trading following a mixed session in which coronavirus concerns pushed investors further into tech shares. Dow Jones Industrial Average futures were down 242 points or 0.95% at 2:35 a.m. ET. S&P 500 and Nasdaq-100 futures also traded lower, down 0.8% and 0.59%, respectively.

The Nasdaq Composite closed at an all-time high during regular trading as Amazon jumped 3% to a record. Microsoft, Apple and Netflix were also higher. But the rest of the market struggled. The Dow dropped more than 300 points, erasing its week-to-date gains. The S&P 500 dipped 0.6%.

This divergence between tech and the rest of the market came as coronavirus-related hospitalizations hit a record in Florida. In California, the state’s daily average increase of coronavirus cases went up to a record as well.

The virus resurgence raised questions about the health of the economy moving forward, pressuring companies that would benefit from an economic recovery. Airlines such as United, Delta and American all closed lower on Thursday. Cruise operators Carnival and Norwegian Cruise Line also fell.

The Dow will limp into Friday’s session with a 0.5% loss for the week. The S&P 500 pared some of its weekly gains, but is still up 0.7% in that time period. The Nasdaq, meanwhile, was on pace for its third weekly gain in four weeks.

Stock futures decline following Thursday’s wild session, CNBC, Jul 10

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